by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Fisher’s Separation Theorem?The Fisher’s separation theorem is an economic theory that states that the investment choices or decisions of a firm are independent of the investment preferences of the firms owners. This theorem postulates that a firm...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is a Credit Spread?In finance, a credit spread refers to the difference in the yields (returns) of two investment or financial instruments with the same maturity but different credit quality. Credit or yield spread often occurs as a result of the difference in...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is a Differential in Securities Trading? In the context securities trading, a differential refers to the extra amount of charge added to the purchase price of a security or subtracted from the selling price. This term also describes the extent of adjustment made...
by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry
Update Table of Contents What is the Asian Infrastructure Investment Bank?How Does the Asian Infrastructure Investment Bank Work?The History of the Asian Infrastructure Investment BankThe Structure of the Asian Infrastructure Investment BankAsian Infrastructure...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is an Information Ratio?The Information Ratio (IR) is a ratio that measures the performance of an investment, fund or portfolio by comparing the returns generated with the returns of a benchmark, usually a market index. IR measures the excess returns of a...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is an Individual Retirement Annuity?An individual retirement annuity is an investment account or a retirement plan that allows individuals to make contributions and build their retirement savings. Just like an individual retirement account (IRA), an individual...
by TheBusinessProfessor | Feb 23, 2025 | Banking, Lending, and Credit Industry
Update Table of Contents What is an Issuer Identification Number?How Does an Issuer Identification Numbers Work?Common Issuer Identification NumbersIINs Versus Payment Card Numbers What is an Issuer Identification Number?The issuer identification number (IIN) is a...
by TheBusinessProfessor | Feb 23, 2025 | Business Communications & Negotiation
What is the American Code For Information Interchange?The American Code for Information Interchange (ASCII) is a standard code for transmitting data for the purpose of electronic communication. The ASCII is a code that represents all the English characters such as...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is a Bogey?Bogey is a slang term used to describe a benchmark used to evaluate an investments performance. A bogey can be used in mutual funds as an index benchmark through which the performance of the fund can be evaluated. Oftentimes, fund or portfolio managers...
by TheBusinessProfessor | Feb 23, 2025 | Investments, Trading, and Financial Markets
What is Bilateral Netting?Bilateral netting is a legal process of merging or consolidating all swap agreements between two parties into a single agreement. Through this process, all the swaps are netted together to create a single legal obligation, hence, rather than...
